After holding steady through most of 2025, the Fed signalled a potential rate cut in the coming months. Here’s how this will impact the Singaporean investor.
When the US Federal Reserve makes a move, the world takes notice. That’s because US interest rates—the Fed funds rate—influence everything from the cost of mortgages in Singapore to the performance of Asian stock markets. After holding steady through most of 2025, the Fed signalled a shift in September when Chair Jerome Powell suggested that rate cuts could be on the table, especially if labour market data continues to soften. This follows several rounds of cuts in late 2024, which buoyed markets but did little to revive momentum in early 2025. Now, all eyes are on the August US jobs report due 5 September 2025. A weak July payrolls print—just 73,000 jobs added—already set the stage for easing. Economists expect another modest gain of…